by: Mitchell Rothman
Hydro resources are provided by nature. The exploitation of such
resources can generate significant economic rent to the owners. In the
past, governments have usually claimed ownership of hydroelectric
resources and passed on the rents to their state-owned utilities, which
have used them to expand their systems or provide lower tariffs to
their consumers. With the restructuring of the electric power sector in
many countries, a more explicit consideration of hydroelectric rents is
required. Moreover, hydropower resources are often owned by more than
one party, or at least require cooperation between parties to develop
them. In this context, the measurement and apportionment of hydropower
rents between cooperating parties becomes important.
This paper addresses some of the issues involved in cooperative
development of water resources, especially for hydroelectric
generation. It promotes a better understanding of the sources of the
benefits and attempts to derive an analytical basis for discussions
between cooperating parties.
This volume will be of interest to hydropower resource earning
countries, hydropower developers, and Bank staff.
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